INSIGHTS IAS QUIZ ON STATIC SYLLABUS - 2018

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Question 1 of 5

1. Question

Which of the following statements is/are true about Indian economy at the dawn of independence

Literacy rate was less than 10%

Life expectancy at birth was around 30 years

Growth in the 20th century preceding independence was less than 2%

Select the correct answer using the codes below

A. 1 and 2

B. 2 only

C. 1 and 3

D. All of them

Correct

Answer – D

The social sector was a neglected area for the British rulers which had a negative impact on the production and productivity of the economy. India remained a continent of illiterate peasants under British rule. At the time of Independence, its literacy was only 17 per cent with 32.5 years of life expectancy at birth. Hence statements 1 and 2 are correct.

The pre-independence period was altogether a period of near stagnation showing almost no change in the structure of production or in the levels of productivity—the aggregate real output during the first half of the 20th century estimated at less than 2 per cent a year or less. Hence statement 3 is correct.

Incorrect

Answer – D

The social sector was a neglected area for the British rulers which had a negative impact on the production and productivity of the economy. India remained a continent of illiterate peasants under British rule. At the time of Independence, its literacy was only 17 per cent with 32.5 years of life expectancy at birth. Hence statements 1 and 2 are correct.

The pre-independence period was altogether a period of near stagnation showing almost no change in the structure of production or in the levels of productivity—the aggregate real output during the first half of the 20th century estimated at less than 2 per cent a year or less. Hence statement 3 is correct.

Question 2 of 5

2. Question

Which of the following were the avowed policy goals after independence

Enhanced role of the entrepreneurs

Discouraging foreign investment

Developing small scale industries

Select the correct answer using the codes below

A. 1 and 2

B. 2 only

C. 1 and 3

D. All of them

Correct

Answer – B

The political leaders and the industrialists both were very much aware and conscious about the economic inheritance once India became independent. Somehow, these dominant lot of people who were going to lay down the foundation stones of the independent Indian economy were almost having consensual view, even before the Independence, on many major strategic issues:
(i) State/governments should be given a direct responsibility for

(ii) An ambitious and vital role to be assigned to the public sector. It thus restricted the role of entrepreneurs. Hence statement 1 is incorrect.
(iii) Necessity for the development of heavy industries. Though small scale was given due importance, but it was never the celebrated policy goal, hence statement 3 is incorrect.
(iv) Discouragement to foreign investment. Hence statement 2 is correct
(v) The need for economic planning

Incorrect

Answer – B

The political leaders and the industrialists both were very much aware and conscious about the economic inheritance once India became independent. Somehow, these dominant lot of people who were going to lay down the foundation stones of the independent Indian economy were almost having consensual view, even before the Independence, on many major strategic issues:
(i) State/governments should be given a direct responsibility for

(ii) An ambitious and vital role to be assigned to the public sector. It thus restricted the role of entrepreneurs. Hence statement 1 is incorrect.
(iii) Necessity for the development of heavy industries. Though small scale was given due importance, but it was never the celebrated policy goal, hence statement 3 is incorrect.
(iv) Discouragement to foreign investment. Hence statement 2 is correct
(v) The need for economic planning

Question 3 of 5

3. Question

When was National Planning Committee formed

A. 1938

B. 1947

C. 1950

D. 1951

Correct

Answer – C

The political leadership selected industry as the leading force of the economy after Independence—this was already decided by the dominant group of the nationalist leaders way back in the mid-1930s when they felt the need for economic planning in India before setting up the National Planning Committee in 1938.

Hence option A is correct.

Incorrect

Answer – C

The political leadership selected industry as the leading force of the economy after Independence—this was already decided by the dominant group of the nationalist leaders way back in the mid-1930s when they felt the need for economic planning in India before setting up the National Planning Committee in 1938.

Hence option A is correct.

Question 4 of 5

4. Question

Which of the following statements is/are true

Agriculture was chosen as the prime moving force of the economy at independence

Agriculture has been relegated in favour of industry after liberalisation

Select the correct answer using the codes below

A. 1 only

B. 2 only

C. Both 1 and 2

D. Neither 1 nor 2

Correct

Answer – D

Looking at the resources available, agriculture would have been the obvious choice as the prime moving force (PMF) of the economy (i.e., cultivable land and the human power). But as Indian agriculture was using traditional tools and technology its modernisation as well as future mechanisation (later to some extent) would have been blocked due to the lack of indigenous industrial support. Thus the political leadership selected industry as the leading force of the economy after independence. Hence statement 1 is incorrect.

A major shift took place in the Indian economic thinking when the government announced in 2002 that from now onwards, in place of industry, agriculture will be the prime moving force of the economy. This was a policy shift of historic importance which was announced by the highest economic think tank of the country—the Planning commission—as the economy commenced the Tenth Plan (2002–07). Hence statement 2 is incorrect.

Incorrect

Answer – D

Looking at the resources available, agriculture would have been the obvious choice as the prime moving force (PMF) of the economy (i.e., cultivable land and the human power). But as Indian agriculture was using traditional tools and technology its modernisation as well as future mechanisation (later to some extent) would have been blocked due to the lack of indigenous industrial support. Thus the political leadership selected industry as the leading force of the economy after independence. Hence statement 1 is incorrect.

A major shift took place in the Indian economic thinking when the government announced in 2002 that from now onwards, in place of industry, agriculture will be the prime moving force of the economy. This was a policy shift of historic importance which was announced by the highest economic think tank of the country—the Planning commission—as the economy commenced the Tenth Plan (2002–07). Hence statement 2 is incorrect.

Question 5 of 5

5. Question

Which of the following basic industries was having considerable presence of private sector at the time of independence

Cement

Iron and steel

Coal

Select the correct answer using the codes below

a) 1 only

B. 2 and 3

C. 1 and 3

D. All of them

Correct

Answer – C

There are six basic industries which every industrialising economy requires, namely—
(i) Iron and Steel
(ii) Cement
(iii) Coal

(iv) Crude oil
(v) Oil refining
(vi) Electricity

At the time of independence, out of the six basic industries, the cement industry had some strength in the private sector, while in the iron and steel industry a lone private company was present. Hence statement 1 Is correct, but 2 is incorrect.

The coal industry was controlled by the private sector and crude oil and refining was just a beginning by then. Hence statement 3 is correct.

Incorrect

Answer – C

There are six basic industries which every industrialising economy requires, namely—
(i) Iron and Steel
(ii) Cement
(iii) Coal

(iv) Crude oil
(v) Oil refining
(vi) Electricity

At the time of independence, out of the six basic industries, the cement industry had some strength in the private sector, while in the iron and steel industry a lone private company was present. Hence statement 1 Is correct, but 2 is incorrect.

The coal industry was controlled by the private sector and crude oil and refining was just a beginning by then. Hence statement 3 is correct.